Japan & Indonesia: Is US supervision (or lack thereof) an important explanation for variation in post World War 2 rehabilitation in Japan and Indonesia?
By Abrar Iqbal and Louise Jansen Agarpao,
Importance of the question
Countries aided by the US are much more developed today compared to countries aided by other organizations. We want to understand why such differences arise by comparing two island countries on the Asian belt - Japan and Indonesia.
Why the US only occupied Japan in Asia
Japan’s role as a primary Axis power in the war coupled with their military ambitions made them an immediate threat to the US, and US occupation was a measure to prevent future aggression. Additionally, Japan’s geographical location was of immense strategic importance, and establishing a control over Japan allowed the US to counterattack the Soviet expansion in the Asia-Pacific region. The US did not venture into other Asian countries mainly because they were in the process of being decolonized from other European powers after being heavily drained of their resources, and as such there was little incentive for the US to occupy them.
Difference between the starting points of the two countries
During the decade leading up to World War 2, Japan focused heavily on military and industrial expansion, and also acquired massive amounts of natural resources through military conquests. These industrial foundations and materials stayed intact even after the Japanese were defeated in the war, which was a strong basis for reconstruction of the economy. Indonesia, on the other hand, was known as the Dutch East Indies because it was a colony of the Netherlands, and in 1942 was taken over by the Japanese Empire. The Dutch East Indies were subject to an extractive colonialism, and their resources were directed for the betterment of their colonizers, leaving them with little to no basis for restructuring their economy at the wake of the post-war era.
Differences in post war rehabilitation strategy
Japan was occupied by the US immediately following World War 2. The US allowed Japan to maintain their preferred form of government, thereby ensuring political stability. This allowed the US to direct the rebuilding of the economy without much turmoil, and they focused the resources and infrastructure of Japan towards expansion of electronics, automobile and technology-driven industries. Indonesia was plunged into a war of liberation with the Dutch who tried to reestablish their colonial power in the region right after the war. Even after gaining independence, the new Indonesian government was neither experienced nor equipped with a plan to stabilize the economy or the political tension, plunging the country into further poverty and hyperinflation, which would not begin to be resolved until the 1970s.
US aid vs Soviet aid
Following the war, Europe was divided into the western bloc supervised by the US and the eastern bloc supervised by the Soviet Union. As of today, countries in the western bloc are more developed than their eastern counterparts. This phenomena is the result of various reasons. While the US devised several plans like the Marshall Aid to rebuild the economies of the countries in the western bloc, the Soviet Union was more invested in restructuring the governance of the countries in the eastern bloc to their liking, which set them back substantially.
Conclusion
Underlying differences between Japan and Indonesia leading up to the end of World War 2 such as differences in available infrastructure, resources, colonial aftermath and political turmoil played an important role in the difference in the magnitude of development each country experienced, but the US occupation was vital for providing Japan political stability and industrial direction, which Indonesia lacked, so the importance of the US occupation cannot be underestimated.
References
YouTube. (2021, July 29). Rebuilding Japan after World War II. YouTube.
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Wikimedia Foundation. (2024, March 20). Aftermath of World War II. Wikipedia.
https://en.wikipedia.org/wiki/Aftermath_of_World_War_II
Wikimedia Foundation. (2024b, March 21). Politics of Indonesia. Wikipedia.
https://en.wikipedia.org/wiki/Politics_of_Indonesia#:~:text=While%20Indonesia%20has%2b
een%20 considered
National Archives and Records Administration. (n.d.). Marshall Plan (1948).
National Archives and Records Administration.
https://www.archives.gov/milestone-documents/marshall-plan#:~:text=On%20April%203%